Why Amplitude Stock Dropped Today
Shares of Amplitude (NASDAQ: AMPL) fell 16.3% on Wednesday after the digital-analytics platform provider announced mixed quarterly results and disappointing forward guidance.
Amplitude's fourth-quarter 2023 revenue grew 9% year over year to $71.4 million, translating to adjusted (non-GAAP) net income of $0.04 per share. Analysts, on average, were only expecting earnings of $0.03 per share, but on slightly higher revenue.
The company's number of paying customers soared 37% year over year to 2,723, far outpacing its 10% growth in annual recurring revenue (ARR) to $281 million. Amplitude also swung to positive free cash flow of $1.5 million in Q4, compared to negative free cash flow of $5.9 million in the same year-ago period.
Source Fool.com
